27.03.2007 Russia, Moscow. EU Trade Commissioner Peter Mandelson takes part in a briefing headlined "Further development of EU-Russia economic partnership."
Photo: Grigoriy Sobchenko
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“Businessmen, Rather Than Politicians, Will Provide for Rapprochement”
// The EU hopes for a new level of partnership with Russia
Ahead of the Russia-EU summit in Khanty-Mansiysk, in his article written for Kommersant exclusively, EU Trade Commissioner Peter Mandelson dwells on the causes for the difficulty in the relations between Moscow and Brussels. From the author’s viewpoint, the counterparts must avert deterioration of the bilateral relations because it might affect their mutual interests on the European continent.
The allegedly stiff tensions in the relations between the European Union and Russia are rooted in the problem of comprehension. In Russia there is a widespread opinion that the EU intends to prevent it from reviving and exploit its resources. In its turn, the EU puts it into question whether Russia is willing to follow the global integration way opting for a different path and a different set of political values.
The tensions arising due to this factor and a number of political crises brought about by it can make us believe that any efforts targeted at improving these relations are bound to fail. But in this situation you’d better do the opposite. We must apply even more efforts to make our relations function thus eliminating the risk of their aggravation. The Russia-EU summit in Khanty-Mansiysk, where we’ll meet with the new President of Russia, allows us to reassess the potential of our relations.
We must prevent our dialogue from stalling just because it’ll negatively affect resolving each and every crucial problem on the common European continent. Addressing the challenges in the South Caucasus, Iran and Kosovo will be impeded in case the EU and Russia lack true confidence in the bilateral relations. Mutual suspicion undermines our attempts to work out a common approach towards energy, climate change, trade, security, criminality and migration issues. As to economy, we must find resolution to such fundamental matters as Europe’s growing dependence on energy resources import and Russia’s wish to restructure or diversify its industry, services and infrastructure.
All in all, we need to change the approach first. We must abandon zero tolerance – a conception suggesting that we are doomed to confrontation which results from our incompatible interests. Russia must avoid the trap of ambitions of an energy power’s false force. Europe must begin to take more account of collective and continental interests. Of course, even if we sometimes lose our way, we should not jump overboard. We must start with improving the mechanisms of addressing trade issues.
President Medvedev’s first statements regarding economic policy sounded encouraging for Europe. They confirmed that the commitment to the principles of market economy and openness to the external world comply with the interests of common Russians. The positive changes of the last decade won’t be reversed. Russia’s membership in the World Trade Organization and its further economic and energy rapprochement with Europe will become the corner stones of this openness.
Accomplishing the talks about Russia’s admission to the WTO must be Moscow’s high priority task. WTO membership will allow liquidating the discrimination towards Russia in trade and investment matters, and defending its interests in external markets. The accomplishment of the process of admitting Russia to the WTO will create prerequisites for concluding a new trade and economic agreement between Russia and the EU, which envisages a closer integration.
In this agreement, special emphasis must be laid on eliminating non-financial barriers, working out single rules of reacting to common risks and creating conditions for open investment flows. We must set up a common European economic space – a platform for innovations and modernization. It’s the only way for Russia’s economy to get diversified and streamlined.
We must also press for a long-term improvement of our relations in the energy sector. Some people in Europe opine that Russia is interested in investments that contribute to its exerting even more influence on other countries, rather than developing its energy sector proper. Those sharing this viewpoint argue that Gazprom’s strategic investments abroad contrast with the lack of home investments. In its turn, Russia is always complaining that Europe regulates its common market without taking Russia’s interests into consideration.
The best way of getting rid of the mutual suspicion in the energy branch is elaborating a relevant legislative cooperation base and negotiating mutual responsibilities, which will be equally applicable to our energy markets. It will enable our companies to do what they are good at – produce energy and deliver it to consumers – without countering any barriers.
This is the way the basis for a key energy deal between the EU and Russia will be created. It’ll comprise the security of the supplier and the consumer, mutual openness for investments, and guarantees of free transit given by the two sides.
As a result, it’s most likely that businessmen and entrepreneurs, rather than diplomats, ministers and special commissioners, will provide for economic and political rapprochement between Russia and the EU. Our role as politicians boils down to creating an atmosphere of trust and legislative predictability, which will allow these political forces to cooperate and integrate.
If we need any additional mechanisms for channeling these efforts, we must create them, too. As to the European Union’s trade and economic relations with China, we have just brought them up to a new standard. Perhaps, we need a similar pattern in the relations with Russia.
I assume that this decade is going to be critical for the dialogue between Russia and the EU. We must do everything right. Much depends on our partnership. We’ll miss too many opportunities if we make mistakes.
Peter Mandelson, EU Trade Commissioner
All the Article in Russian as of June 26, 2008
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